TO: Proximity Music Teams
FROM: Megan James
DATE: March 1, 2010
SUBJECT: LimeWire Strategy Analysis
Here is my LimeWire strategy analysis. LimewWire is one of the world's most popular peer-to-peer file-sharing program with over 50 million users. Whether Gen-Y users continue to use LimeWire depends on whether or not LimeWire is providing them with top features that outweigh competing file-sharing programs.
Profile
LimeWire, a software developed by Lime Wire LLC, was founded by CEO Mark Gorton in 2000. Headquartered in New York, NY, LimeWire is a privately funded company and wholly owned subsidiary of the Lime Group. It is one of the largest P2P file-sharing programs that allows users to search, download, and then share pictures, videos, and audio with friends.
LimeWire offers a few different options. LimeWire BASIC is a common version that users can download free however, LimeWire PRO ensures better search results and faster downloads for a fixed price. LimeWire uses the Gnutella network and the BitTorrent protocol which is used for distributing large amounts of data.
Competitive Landscape
LimeWire's biggest threats are other digital music sites or companies such as:
Music stations (Pandora Radio)
Online music services (Rhapsody)
Music downloading programs (iTunes)
However, LimeWire provides users a fast, free, and easy way to get music, and that's what the Gen Y has become accustomed to.
Limewire's Business Strategy
In 2008, LimeWire launched the LimeWire store, which allows users to purchase digital media online, similar to Apple's iTunes store. I believe that LimeWire should get rid of the free peer to peer version and only allow consumers to use the LimeWire PRO version or LimeWire store where users have to pay a monthly fee. LimeWire will then benefit from an income.
Gen Y Implications
LimeWire's low costs and free downloads have attracted a large majority of Gen Y. Today, users are primarily concerned with listening to free music because that's the society they have adapted to. I believe that Gen Y will continue to use LimeWire as a primary source of music. The only factor that would stop users from making the decision to download illegally is the law, and clearly that hasn't hindered their downloading experience yet.
TO: Proximity Music Teams
FROM: Megan James
DATE: March 1, 2010
SUBJECT: LimeWire Strategy Analysis
Here is my LimeWire strategy analysis. LimewWire is one of the world's most popular peer-to-peer file-sharing program with over 50 million users. Whether Gen-Y users continue to use LimeWire depends on whether or not LimeWire is providing them with top features that outweigh competing file-sharing programs.
Profile
LimeWire, a software developed by Lime Wire LLC, was founded by CEO Mark Gorton in 2000. Headquartered in New York, NY, LimeWire is a privately funded company and wholly owned subsidiary of the Lime Group. It is one of the largest P2P file-sharing programs that allows users to search, download, and then share pictures, videos, and audio with friends.
LimeWire offers a few different options. LimeWire BASIC is a common version that users can download free however, LimeWire PRO ensures better search results and faster downloads for a fixed price. LimeWire uses the Gnutella network and the BitTorrent protocol which is used for distributing large amounts of data.
Competitive Landscape
LimeWire's biggest threats are other digital music sites or companies such as:
However, LimeWire provides users a fast, free, and easy way to get music, and that's what the Gen Y has become accustomed to.
Limewire's Business Strategy
In 2008, LimeWire launched the LimeWire store, which allows users to purchase digital media online, similar to Apple's iTunes store. I believe that LimeWire should get rid of the free peer to peer version and only allow consumers to use the LimeWire PRO version or LimeWire store where users have to pay a monthly fee. LimeWire will then benefit from an income.
Gen Y Implications
LimeWire's low costs and free downloads have attracted a large majority of Gen Y. Today, users are primarily concerned with listening to free music because that's the society they have adapted to. I believe that Gen Y will continue to use LimeWire as a primary source of music. The only factor that would stop users from making the decision to download illegally is the law, and clearly that hasn't hindered their downloading experience yet.
References
"Official LimeWire Website." LimeWire. 2000-2010. LimeWire LLC, Web. 2 Mar 2010. <http://www.limewire.com/>.
"LimeWire." Wikipedia. 25 Feb 2010. Web. 2 Mar 2010. <http://en.wikipedia.org/wiki/LimeWire>.